How can discrete event simulation contribute to increased output? A case study about improving a production line at Veoneer using discrete event simulation

Abstract

Veoneer, a large subcontractor to the automotive industry, has seen an increased demand for its products. To match this demand, the company must have enough production capacity. This case study has collected data using a qualitative approach to replicate the actual production line and perform a discrete event simulation (DES). The simulations were used to investigate if there are potential improvements that could be made to increase the efficiency of the production line. In total, 220 simulations with five different improvements were tried. Furthermore, the simulation also evaluated other simulation variable effects, such as mean time to detect (MTTD) or the number of work-in-progress. The project found results indicating that reducing the MTTD could significantly affect the overall output. Additionally, two other improvements seemed to affect the production line positively by either expanding the capacity on the identified bottleneck or subordinating the rest of the system to that particular station.